Cta Subpoenaed Over Bank Contract

February 13, 1986

The Chicago Transit Authority has been subpoenaed by a Cook County grand jury to produce records in connection with a contract awarded to a South Side bank, a CTA spokesman said Wednesday. Highland Community Bank, which won a contract to count CTA currency in 1981, made two loans totaling about $300,000 to CTA board member Howard Medley in 1984 and 1985. Medley, who has denied any conflict of interest by voting in favor of the contract, said, ``When allegations have been made by the media that wrongdoing has been committed, I guess the state`s attorney`s office has no alternative but to check them out.`` Medley said he has not been subpoenaed.